What happens to our credit ratings?

citroen999

If we start missing payments or making late payments is this going to affect our credit ratings with experian and equifax etc? or is it all on hold. I've had the 3 month payment holiday email fro nationwide but my credit card company are simply offering a bigger credit limit... i dont want more debt, i want to defer what i'm paying. So no sign of 3 month payment holidays from the card companies  

Mrsn

Honestly wouldn’t have expected a 3 month payment holiday from the credit card companies. With the mortgage you are simply just extending the length of repayments which usually are the same each month and on a set date. I believe and could be very wrong that yes it would impact the credit files if you were to miss payments etc

Jeremy535897

You don't really need a payment holiday from your credit card provider unless the minimum monthly payments themselves are too big for you to make, and/or you are already at the credit limit of your card. But credit card debt is very expensive. See if you can get a 0% balance transfer deal. If you miss making the minimum payment, I expect it would impact your credit score.

Blue_sky101

Tesco Bank are offering two months payment breaks if you’re affected by Covid 19 and their site says they will make sure this doesn’t impact your credit report. Talk to your card company and see what they can do.

lisastevo

Copied from gov.uk website, so in short if you call and agree help with creditors your credit file will not be affected -

If you are experiencing difficulties paying back personal loans or credit card bills as a result of COVID-19, you should read the following information:

• the Financial Conduct Authority (FCA) called on lenders to use flexibility built into their rules to support consumers, taking into account customers’ individual circumstances. Many major lenders have already made statements to this effect
• if you are experiencing difficulties paying back loans or credit card bills because of COVID-19, you should talk to your lender
• if you agree a payment holiday with your lender, they should record these in such a way that will not impact on your credit score

sharpe106

If you just choose to miss a payment or make a late payment then it will effect your credit rating. However if you agree with them then it should not.